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Shorters bluff

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    I found a blog that explains how shorters manipulate.  I think what we saw this morning was a shorters' bluff.  According to the author of the blog:

    If you were a short bluffing (basically manipulating a shares' price) about a company's overvalued share price, you might not want to draw attention to yourself since you could get accused of stock manipulation so you would hope (or plan for) others to get involved and to present seemingly good reasons to short the stock. You would want to put as much fear into longs as possible and would use high volume short trading as well as buying to drive the share price down as low as you can and as long as you can. You really want the longs to fold and to get out of the game. If you are consistently seeing sellers overwhelming buyers driving a share price down as a stock seems to be going up, I can assure you it's probably shorts selling since longs are totally motivated to sell their shares at the highest possible selling price.

    ORE was going up until this morning.  I had a look at the chart and shortly after opening there was a massive spike in volume as a huge chunk of shares overwhelmed the numbers on the buy side.  The share price plunged and it seems to have thrown enough fear into the longs to at least have them step back.

    This is the sentence that I interpret to explain what we saw today: If you are consistently seeing sellers overwhelming buyers driving a share price down as a stock seems to be going up, I can assure you it's probably shorts selling since longs are totally motivated to sell their shares at the highest possible selling price.
 
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